Method and apparatus for operating lotteries and for generating and processing lottery entries

ABSTRACT

A system and process for generating, distributing, and processing lottery tickets guaranteed to win a drawing-based prize. Tickets are appropriately priced, and are validated at point of sale by a central server in which the ticket information is stored. Subsequent to each lottery drawing, the winning lottery numbers are compared to the entries in a never-lose ticket database to determine if any of the entries match the winning number. Winning entries are appropriately identified and tagged as inactive, while entries that have not yet won a drawing-based prize remain active for future drawings.  
     Ticket pricing methodology is provided for appropriately pricing never-lose tickets. A method and apparatus are further provided whereby a ticket holder may query the status of a never-lose ticket directly from the server.

FIELD OF THE INVENTION

[0001] The present invention relates generally to lotteries and morespecifically to methods and apparatus for generating and processinglottery entries.

BACKGROUND OF THE INVENTION

[0002] Lotteries currently generate over $30 billion in ticket sales inthe US alone. Thirty-eight states in the US offer at least onegovernment-sponsored lottery, with much of the profits going to augmentthe state tax base, for example by funding state educational systems.

[0003] In a typical operation, a lottery is operated by a centralauthority with a government-licensed sponsor providing much of theequipment and support necessary to establish, market, and run theoperation. Such a central authority typically maintains one or morecentralized operations for receiving and processing lottery entries, theentries themselves being sold at remote authorized lottery outlets orterminals.

[0004] A purchase of a lottery ticket typically requires a visit to oneof the authorized lottery outlets, where the process varies depending onthe type of game to be played. Commonly known games include ‘instant’tickets, or ‘scratch’ tickets, where the winning status is apparent onthe face of the ticket, and ‘Lotto’ games where the player picks orotherwise receives a set of entry numbers, the status of the numbersdetermined by a match with numbers selected in a subsequent lotterydrawing. The present invention has particular application to Lotto stylelotteries, which will be discussed in detail herein.

[0005] In a Lotto game, a player selects one or more numbers, the exactformat, quantity and ordinal value range of the numbers being dependenton the type of game. In a “6/49” game, for example, six numbers areselected, each in the range from one to forty-nine. The numbers may beselected individually by the purchaser. Alternatively, many lotteryauthorities offer a ‘quick-pick’ option whereby, upon request by thepurchaser, a random number generator controlled by the lottery authorityis used to select the entry numbers. In either case, the actual ticketrequest is typically made through the completion of a ‘sense mark form,’or ‘bet slip,’ which is a machine-readable paper form having check boxesthat are filled in by the purchaser and read by the lottery terminal.For a further description of “Lotto” style lottery games, including the6/49 game, reference is made to Dr. Z's 6/49 Lotto Guidebook, by Ziemba,Dr. William T., et al., published 1986 by Dr. Z Investments, Inc., ISBN0-9690097-2-2, incorporated herein by reference.

[0006] The ticket purchase information is read by the local lotteryterminal and transmitted to the central lottery authority. The centralauthority processes the ticket request by storing the selected lotterynumbers, and assigning a ticket identifier. An appropriate ticket isprinted at the terminal and sold to the player. The ticket is kept bythe player as validation of an entry in a lottery drawing, which istypically held once or twice per week.

[0007] A lottery ticket is typically good for one lottery drawing. Thus,each entry in a lottery normally requires a trip to a lottery terminalto purchase a ticket.

[0008] Recently, limited options have been made available wherebylottery tickets may be purchased without visits to a lottery agent. Toincrease ticket sales, as well as for customer-convenience, somelotteries now offer subscription sales of lottery tickets. With asubscription ticket, lottery entries are automatically re-entered intodrawings for a predefined number of weeks. Such subscription tickets areoften made available at a discounted price. The Vermont State Lottery,for example, offers multiple drawing “contracts,” or a subscription,whereby a player can enter selected numbers in multiple drawings. Whilea lottery subscription is more convenient, there is no guarantee thatthe player will win any prize.

[0009] In most lotteries, a jackpot that is not won by a player in adrawing is “rolled over” into the next drawing. In fact, the value ofthe jackpot is usually progressive, in that it increases each time awinner does not result from a drawing. While the lottery jackpot remainsprogressive, however, each ticket is typically only valid for a singledrawing. Even with subscription purchases, the subscription or contractrepresents a virtual series of tickets, each good for a predetermineddrawing. Despite the fact that the purchase of a ticket is not requiredfor every single drawing in which an entry is required, significanttime, energy and planning are still required on the part of a player topurchase lottery tickets, with, of course, no guarantee of a winningreturn.

[0010] One system for enabling lottery players to reuse lottery ticketsin subsequent lottery drawings is disclosed in U.S. Pat. No. 5,186,463to Marin. The Marin patent teaches a system and method by which alottery player may purchase a lottery entry which is applied to allsubsequent drawings in which a jackpot prize is not awarded. Thus, if ajackpot is not awarded for three drawings subsequent to the purchase ofthe ticket, the ticket is automatically valid and re-entered into eachof those drawings. The ticket becomes invalid or expired upon the awardof a jackpot, whether that ticket represented a winning selection ornot. Thus, the Marin patent relieves at most a small part of the burdenof traveling to a lottery agent and waiting on line to purchase lotterytickets.

[0011] A number of lottery agencies have adopted the practice of sellinglottery tickets that offer bonus prizes in addition to qualifying forprizes associated with a drawing. Still other lottery tickets includepromotions offering discounts on products or services if the tickets donot win a drawing-based prize. The Missouri Lottery, for example, offersan instant win ticket having on one side an entry for a lottery prize ofup to $1,000 in cash, and on the other side a “bonus spot” providing anopportunity to win one prize from amongst millions of prizes donated bylocal businesses. Along similar lines, the Pennsylvania Lottery offers a“Cookout Cash” ticket. The “Cookout Cash” ticket is a lotto style ticketwhich further includes a coupon redeemable for a discounted meal if aprize is not won in a weekly drawing. These programs typically involvepromotional advertising by businesses in partnership with a lotteryauthority. Despite the fact that a purchaser is guaranteed at least anominal value for each ticket, the tickets are only valid for a singlelottery drawing, requiring a player to purchase subsequent tickets toparticipate in subsequent drawings.

[0012] Similar to the state lottery programs described above, privatecompanies have also offered promotional lottery games in which everyticket represents at least a nominal value to the player. Liberty Bank,for example, has offered instant tickets with guaranteed prizes rangingfrom $0.50 to $100. Similarly, MCA has offered free scratch-and-wincards in which a ticket that does not win through the scratch-off gamecan be used to obtain a $2 discount on a compact disc at a participatingretailer. A further example of a promotional lottery ticket was offeredas a benefit for “Art Against Aids,” wherein a ticket holder wasguaranteed to win one of more than 100 donated art pieces.

[0013] While the games described above guarantee a prize for everyplayer, the guaranteed prizes typically represent nominal promotionalvalues. They do not represent the potential to win a significant,drawing-based lottery award, nor are the prizes awarded from the actuallottery prize pool.

[0014] Thus, to the best of applicants' knowledge, participation in alottery drawing has in the past required that a ticket be purchasedspecifically for that drawing. While some subscription and contractservices are now available, whereby entries can be purchased for aseries of drawings, the entries are limited to a pre-determined numberof drawings, regardless of the results of those drawings. In theinstance of Marin, a purchased ticket might have some limited carry-overopportunity if a jackpot is not awarded in a drawing.

SUMMARY OF THE INVENTION

[0015] Given the deficiencies of the prior art in making participationin lotteries convenient to players, it would be most desirable toprovide a lottery ticket that is entered into subsequent lotterydrawings until that ticket wins a drawing-based prize. Such a ticketwould make participation in lottery drawings significantly moreconvenient and attractive to interested players than has heretofore beenavailable. Such a ticket would desirably have the result of increasingplayer participation in lotteries, thereby providing the opportunity fora lottery to award more prizes while yielding a higher return to thesponsoring party or government organization.

[0016] An object of the present invention is thus to provide a methodand apparatus for generating and processing lottery entries whereby alottery entry is effective for consideration in lottery drawings untilthat entry wins a drawing-based prize.

[0017] Another object of the invention is to provide a method andapparatus for operating a lottery wherein entries are accepted forconsideration in lottery drawings until each entry wins a drawing-basedprize.

[0018] In accordance with one aspect of the present invention, there isprovided a method, apparatus, and program product for operating alottery, the method comprising the steps of: receiving a result of alottery drawing; comparing the result to a plurality of stored lotteryentries; and if the result corresponds to one of the plurality of storedlottery entries, identifying the one entry as a winning lottery entry.At least one non-winning lottery entry is identified from the pluralityof stored lottery entries, and the method is continued for (at leastone) subsequent lottery drawing(s) until the at least one non-winninglottery entry is identified as a winning lottery entry.

[0019] In accordance with another aspect of the present invention, thereis provided a method, apparatus, and program product for generatinglottery entries usable in a plurality of lottery drawings, the methodcomprising the steps of: receiving a request to purchase a lotteryentry; and receiving with the request an indicator that the lotteryentry is to be entered into a plurality of lottery drawings until alottery drawing identifies the lottery entry as a winner. A ticketidentifier is generated for the lottery entry to validate the lotteryentry and the indicator, and the ticket identifier is transmitted to aremote terminal.

BRIEF DESCRIPTION OF THE FIGURES

[0020] These and other objects, features and advantages of the inventionwill become apparent from a consideration of the detailed description ofthe invention when read in conjunction with the drawing figures, inwhich:

[0021]FIG. 1 is a plan view of a printed sense mark strip for procuringa lottery ticket to participate in a lottery in accordance with thepresent invention;

[0022]FIG. 2 is a plan view of a printed lottery ticket forparticipating in a lottery in accordance with the present invention;

[0023]FIG. 3A is a diagrammatic view of a lottery authority server inaccordance with the present invention;

[0024]FIG. 3B is a diagrammatic view of a remote lottery terminal inaccordance with the present invention;

[0025]FIG. 4 is a table illustrating the contents of the ticket databaseof FIG. 3;

[0026]FIG. 5 is a table illustrating the contents of the never loseticket database of FIG. 3;

[0027]FIG. 6 is a table illustrating the contents of the winning ticketdatabase of FIG. 3;

[0028]FIG. 7 is a table illustrating the contents of the dealer databaseof FIG. 3;

[0029]FIG. 8 is a flow chart illustrating an overview of a process ofobtaining a lottery ticket in accordance with the present invention;

[0030]FIG. 9 is a flow chart illustrating a process of operating alottery terminal to generate a ticket in accordance with the presentinvention;

[0031]FIGS. 10A, B together show a flow chart illustrating a process bywhich a lottery authority server generates a lottery ticket entry/numberin accordance with the present invention;

[0032]FIG. 11 is a flow chart illustrating a process of calculating aprice for a lottery ticket in accordance with the present invention;

[0033]FIGS. 12A, B together show a flow chart illustrating a process ofidentifying winning lottery entries in accordance with the presentinvention;

[0034]FIGS. 13A, B together show a flow chart illustrating a process bywhich a player can query the status of a lottery entry in accordancewith the present invention;

[0035]FIG. 14 is a flow chart illustrating an overview of a process forcashing in a winning lottery ticket to receive a prize in accordancewith the present invention;

[0036]FIG. 15 is a flow chart illustrating a process of operating alottery terminal to process a winning lottery ticket in accordance withthe present invention; and

[0037]FIGS. 16A, B together show a flow chart illustrating a method bywhich a lottery authority server processes a winning lottery ticket inaccordance with the present invention.

DETAILED DESCRIPTION OF THE INVENTION

[0038] System

[0039] In accordance with a preferred embodiment of the invention, anever-lose entry in a lottery remains active, and is thus re-entered insubsequent lottery drawings, until the entry wins a drawing-based prize.That is, the never-lose entry is active until it matches a winninglottery result, i.e. a winning lottery number.

[0040] This is in contrast to prior art lotteries wherein a losingticket might win a prize based on a donated or promotional good orservice unrelated to a lottery drawing result.

[0041] The term “never-lose” is applied herein to lottery entries,tickets, and other apparatus and steps pertinent to operating anever-lose lottery game in accordance with the present invention. Suchnever-lose entries can be used in conjunction with conventional lotterygames, which applicants then describe as comprising never-lose lotterygames.

[0042] As will become apparent from a consideration of the detaileddescription below, the present invention has the advantage of enabling aplayer, using only a single purchased entry, to participate in thatnumber of lottery drawings necessary to win a drawing-based prize. Inprior art lottery drawings, a player seeking a drawing-based prize wouldoften have to buy many tickets to achieve this goal. The invention thusgreatly simplifies the ticket purchasing process. Further, in thepreferred embodiment a player is fully capable of winning any of theavailable drawing-based prizes, including the jackpot or top prize, foreach of the drawings in which the never-lose entry is active.

[0043] By way of background, the preferred embodiment of the presentinvention is operative in conjunction with a conventional state lotteryprogram. In such programs, several of which are referenced above, acentralized lottery authority, for example a state or a state-licensedauthority, processes lottery entries and payouts through many dedicated,remote lottery terminals. Such terminals are typically licensed to andoperated by local retail stores.

[0044] Referring now to FIGS. 1 and 2, a sense mark form 20, or “betslip,” is shown whereby a never-lose ticket 22 can be purchased at alottery terminal of the type described herein below. Form 20, typicallyprinted on paper and including fill-in regions intended to beblackened-in with pencil, includes a printed header region 20Acontaining indicia identifying a particular state lottery game. A region20B includes printed game boards whereby player-selected numbers areblackened to identify a selected lottery ticket entry. A region 20Cincludes printed blocks which can be blackened to select a set number ofgames for which the entry is active, while a region 20D provides theplayer a printed block which can be blackened to indicate a purchase ofa never-lose lottery entry in accordance with the present invention.

[0045] Examining form 20 of FIG. 1, header 20A is seen to include anidentifier for a “NEVER LOSE lotto” entry in an “XYZ STATE” lotterydrawing. Six boards in region 20B each permit a player to select sixnumbers (in the illustrated embodiment) between one and forty-nine,thereby enabling a player to select up to six separate, six numberentries. Region 20C enables a player to identify the number of games tobe played based on the number of boards which have been filled out inregion 20B. Region 20D enables the player to select the never-loseoption for the lottery numbers he is entering.

[0046] With specific reference to FIG. 2, ticket 22, provided as aresult of processing a completed bet slip, identifies a lottery entry asa $24.00 (22A) never-lose entry (22B). The player-selected lotterynumbers are shown at 22C to be “14-23-25-29-36-40.” A printed ticketidentifier 22D is generated by the lottery authority for trackingpurposes described below, as is a date of purchase 22E for the ticket.

[0047] Referring now to FIG. 3A, a server 30 comprises one embodiment ofa computer server operable by a lottery authority for generating,validating, processing and redeeming lottery entries in accordance withthe present invention. Server 30 includes a processor 32 connected to astorage device 34, to an interactive voice response unit (IVRU) 36, andto a lottery network interface 38. Storage device 34 includes fourdatabases: a ticket database 40, a never lose ticket database 42, awinning ticket database 44, and a dealer database 46. Storage device 34further includes the necessary software for operating server 30 inaccordance with the processes described in detail herein.

[0048] Server 30 preferably comprises one of many conventional computerservers, for example an IBM RS6000®, programmed to operate in accordancewith the present invention. Storage device 34 comprises an appropriatememory device, for example including an appropriate combination ofsemiconductor, magnetic, and optical memory. IVRU 36 comprises one ofmany well-known commercial units, for example AT&T's Conversant VoiceInformation System (VIS) operating on a hardware platform such as aMAP/100C system, while network interface 38 comprises standard networkinterface hardware and software.

[0049] With reference now to FIG. 3B, a local lottery terminal 31, ofthe type operated by a retail establishment as described above, isshown.

[0050] In contrast to server 30 described above, lottery terminaldevices of the type such as lottery terminal 31 typically require lessprocessing power, and are generally more ‘terminal-like’ inconstruction. More specifically, lottery terminal 31 is seen to includea processor 33, a lottery network interface 35, and a storage device 37.Processor 33 may comprise, for example, an Intel Pentium® compatibleprocessor. Lottery network interface 35 comprises an appropriate networkinterface device, many of which are well known in the art. Storagedevice 37 comprises an appropriate memory device, for example includingan appropriate combination of semiconductor, magnetic, and opticalmemory, and is seen to include an audit data database 39. Audit datadatabase stores local sales data, for example including quantities anddollar volumes of ticket sales.

[0051] Lottery terminal 31 is seen to further include an input/output(I/O) device(s) 41, a lottery ticket reader 43, a ticket printer 45, anda sense mark form reader 47. I/O device 41 includes appropriate meansfor communicating data between a human operator and terminal 31, forexample a video terminal and keyboard. Ticket printer 45 comprises aprinter adapted to print lottery tickets, many of which are commerciallyavailable and well known in the art. Likewise, sense mark form reader 47and lottery ticket reader 43 comprise commercially available units forreading data from completed sense mark forms and printed lotterytickets, respectively, many of which are well known in the art.

[0052] With reference to FIG. 4, ticket database 40 is seen to includefive records 50A-E, each record including six fields of data pertinentto a ticket representing a lottery entry: a GAME TYPE field 52, a TICKETIDENTIFIER field 54, a NUMBERS SELECTED field 56, a DATE OF PURCHASEfield 58, a NEXT DRAWING field 60, and a DEALER IDENTIFIER field 62.Game type field 52 identifies the type of game which the ticketcorresponds to. It should be noted that different games may be stored indifferent databases. For example, the Lotto 6-49 ticket information maybe stored in one database, while the Daily Numbers game (e.g. a pickthree game) may be stored in another database. For the purposes of thisapplication, the database described in FIG. 4 contains ticketinformation for a never-lose Lotto 6-49 game only.

[0053] Ticket identifier 54 represents a unique number generated by thelottery authority server 30 (FIG. 3A) to both validate and track anentry. The numbers selected by the player are stored in field 56, whilethe date of purchase of the ticket is contained in field 58. Nextdrawing field 60 identifies the next drawing by date for which the entrywill be active, while dealer identifier field 62 represents anidentifier for the operator of the lottery terminal from which the entrywas received.

[0054] With reference now to FIG. 5, never lose ticket database 42includes five records 66 A-E, each record including seven fields of datapertinent to a never-lose ticket representing an entry in a never-loselottery. A GAME TYPE field 68, TICKET IDENTIFIER field 70, DATE OFPURCHASE field 72, NEXT DRAWING field 74,. DEALER IDENTIFIER field 76,and NUMBERS SELECTED field 80, each include like information tolike-named fields 52, 54, 58, 60, 62, 56 of ticket database 40,respectively. A STATUS field 78 includes data indicating if a ticket is“active,” i.e. to be considered in a future drawing, or “closed,” i.e.not to be considered in any future drawings. With reference now to FIG.6, winning ticket database 44 includes four records 88A-D, each recordincluding six fields of data pertinent to the winning status of alottery ticket. It should be noted that in this embodiment, the winningticket database 44 stores both conventional and never-lose winningticket information. In other embodiments, there is a separate winningticket database for never-lose tickets only. A GAME TYPE field 90,TICKET IDENTIFIER field 96, and NUMBERS SELECTED field 98, each includeslike information to like-named fields 52, 54, and 56 of ticket database40, respectively. A DRAWING DATE field 92 and NUMBERS DRAWN field 94include the drawing date and drawn numbers of the winning drawing,respectively. A PRIZE field 100 indicates the prize awarded to eachwinning entry, the value of the prize of course being dependent on ahost of factors including the game type, the jackpot for a particulargame, and the number of matches between the numbers drawn and the entrynumbers.

[0055] Referring now to FIG. 7, dealer database 46 is shown includingfour records 102A-D, each record including four fields. A DEALERIDENTIFIER field 104, an ADDRESS field 106, a TELEPHONE NUMBER field 108and a NAME field 110 identify the operators of the various lotteryterminals. Dealer identifier field 104 represents a unique index numberassigned each dealer and/or each lottery terminal by the system, whilethe remaining fields are self-explanatory.

[0056] Process

[0057] Referring now to FIG. 8, an overview process 120 is shown wherebya never-lose lottery ticket is purchased by a customer/player. Toinitiate the process, a player travels to a location operating a lotteryterminal and obtains a sense mark form 20 of the type shown in FIG. 1.The player completes the bet slip, indicating the number of games to beplayed and the numbers selected for each game (step 122). In accordancewith the invention, the player blackens the portion of the bet slipdirected towards the never-lose option (step 124).

[0058] In an alternate embodiment, the player may request that thelottery authority randomly select numbers for his entry. Further, thenever-lose lottery tickets may be purchased using a more specializedsense mark form, in lieu of the described form with the selectableoption. The player would thus be presented with two lottery bettingslips, one for obtaining conventional lottery tickets and one forobtaining never-lose tickets. Of course, embodiments negating the use ofthe bet slip are also apparent where, for example, the player enters hisentry information directly into a user-operated lottery terminal or viathe Internet.

[0059] Once the player has submitted his bet slip to the lotteryterminal operator (step 126), the slip is entered into sense mark formreader 47 (step 128), and the data on the slip is communicated fromterminal 31 to the central lottery authority server 30 shown in FIG. 3.Appropriate data is exchanged between the lottery terminal and thelottery server (step 130) whereby a ticket price is set, and the userentry is registered with and validated by the lottery server.Appropriate data is defined as at least the minimum amount of datarequired by the lottery authority to register and price a lottery entryor ticket. In the present embodiment, the appropriate data exchangedincludes the number of games to be played, the numbers selected by theplayer corresponding to each game, the date of purchae of the ticket,and an indication that the entry is for a never-lose ticket. A lotteryticket of the type shown in FIG. 2 is printed at lottery terminal ticketprinter 45 (step 132), and the ticket is provided to the player inexchange for the ticket price (step 134).

[0060] Referring now to FIGS. 9, 10A, and 10B a more detailed process isshown whereby lottery terminal 31 communicates with lottery server 30 togenerate a valid, never-lose lottery ticket. Beginning with the process140 of operation of the lottery terminal, the sense mark form is fedinto and received by the reader (step 144), which reads the data encodedin the manner described above (step 146). In step 148, the terminal 31determines the number of games to be played as specified by the dataread from the bet slip in step 146. For each game to be played, terminal31 determines the selected, or assigned (i.e. randomly selected bylottery authority server 30), lottery numbers. The ticket information isthen transmitted over the lottery network for processing by lotteryserver 30 (step 154).

[0061] With reference now to FIG. 10A, a process 160 is shown wherebyserver 30 (FIG. 2) operates to process lottery entry data, calculate aprice for a ticket(s), and transmit the price and validation data backto lottery terminal 31. More specifically, server 30 receives atransmission from lottery terminal 31 (step 162) which, based on theformat of the data in the transmission, is determined to be a requestfor registration of a lottery entry (step 164).

[0062] In accordance with the present invention, server 30 processes thedata to determine if the entry is for a never-lose ticket (step 166)and, if so, continues to process the received data for appropriate entryinto never-lose ticket database 42 (FIG. 5) (step 168). Morespecifically, the incoming data is read to determine the number of gamesto be played, and the game type (step 170), and an appropriate record 66is created in never-lose ticket database 42 for each game (step 172). Aticket identifier is generated for each game entry record 66 (step 174),and stored with that record in the database (step 176).

[0063] Referring to FIG. 10B, the purchase date is read from the datareceived from lottery terminal 31, and stored in the date of purchasefield 72 in the appropriate record of never-lose ticket database 42(step 178). A price is calculated for the particular game(s) entry(s)(step 180), the method of which is described herein below, andregistration information is transmitted back to lottery terminal 31(step 182). Registration information includes any relevant informationcorresponding to the information stored at the time of the ticket(s)purchase. In the present embodiment, the registration informationincludes the ticket identifier, the date of purchase, and the status ofthe ticket.

[0064] Referring back to FIG. 9, the data transmitted from the server 30is received by lottery terminal 31 (step 156). The price of the lotteryentry is collected by the operator of the lottery terminal, and tocomplete this portion of the operation of the lottery terminal, alottery ticket 22 (FIG. 2) is printed at printer 45 for providing to theplayer (step 159).

[0065] Referring now to FIG. 11, there is shown an exemplary process 200for calculating the price of a never-lose lottery ticket. In the presentembodiment, the formula used to calculate the price of such a ticketincludes the following variables:

[0066] P=price of the never lose lottery ticket

[0067] M=markup added by the lottery authority

[0068] T=total number of possible unique outcomes

[0069] Prob X_(i)=probability of a player achieving a certain outcome

[0070] Payout X_(i)=the payout associated with a certain outcome

[0071] Prob Z=probability of a player not winning any prize

[0072] M is a percent markup included in the calculated ticket price sothat the lottery derives a profit from the sale of never lose tickets. Amarkup factor of 1.5, for example, indicates that an additional 50% hasbeen included in the base cost calculated below. T is the total numberof unique outcomes, with a unique outcome representing a differentpayout. Prob X_(i) is the probability value for each of the possibleoutcomes. For instance, if the probability of winning the top prize orjackpot is one in ten million, then the value of Prob X_(jackpot) is0.0000001. Payout X_(i) is the respective amount of money awarded foreach outcome. For example, the payout for matching 5 of 6 possiblenumbers may be $100,000. Prob Z represents the chance that the playerreceives no payout for that particular lottery draw. Since most ticketsare losing tickets, this probability will generally be 80% or higher. Anexemplary pricing equation implementing these variables is representedby the following mathematical equation:$\left\lbrack {\sum\limits_{i = 1}^{T}\quad \left( {\left( \frac{{ProbX}_{i}}{1 - {{Prob}\quad Z}} \right){Payout}\quad X_{i}} \right)} \right\rbrack M$

[0073] It should be noted that the above equation is but one method ofcalculating the price of the never-lose lottery ticket. Those ofordinary skill in the art will understand that there are many otherequations which would provide reasonable prices.

[0074] With reference now to FIG. 11, a process 200 for calculating theprice for a never-lose lottery entry in accordance with the equationabove is shown wherein server 30 determines the total number of possibleoutcomes (T) (step 202) and determines the probability (Prob X_(i)) ofeach outcome (step 204). Server 30 then subtracts the probability of noprize (Prob Z) from the integer 1 (step 206).

[0075] Continuing with the calculation of the price, server 30 dividesProb X_(i) by (1−Prob Z) for each of the outcomes (step 208), andmultiplies the result of the division operation of step 208 by PayoutX_(i) for each of the outcomes (step 210). Server 30 adds the resultfrom the multiplication operation of step 210, for each of the (T)outcomes in step 202 (step 212), and rounds the result of the summationup or down to nearest whole number. The resulting number when multipliedby the markup factor, constitutes the price of a never-lose lotteryticket for that particular lottery game structure (step 214). Those ofordinary skill in the art will recognize that this calculationdetermines the expected value of the ticket with the addition of amark-up factor, ignoring the time value of money.

[0076] The following is an illustrative example of the pricing process200 for a never lose lottery ticket entry in a one million dollar topprize, 6-49 game. In this example, there are six possible outcomes. Eachoutcome has a corresponding payout or prize, with two matches or lessresulting in a payout of zero. The “5 of 6+” outcome represents a playerentry matching five of the six numbers correctly as well as a bonusnumber. For example, suppose the regular numbers drawn are 12, 15, 21,32, 42, and 48 and the bonus number drawn is 44. If the player numbersmatch five out of the six possible drawn numbers correctly, 12, 15, 32,42, and 48, and also match the drawn bonus number, 44, then the playerwins the second prize.

EXAMPLE 1

[0077] Lotto 6-49 Top Jackpot - $1,000,000 Payout (X_(i))* X_(i) OutcomePayout ($) Prob (X_(i)) Prob (Z) 1-Prob (Z) [prob X_(i)/(1-prob Z)] X₁ 6OF 6 $1,000,000 0.0000001 0.981469 0.018531 $5.40 X₂   5 OF 6+ $100,0000.0000004 0.981469 0.018531 $2.16 X₃ 5 OF 6 $1,000 0.0000180 0.9814690.018531 $0.97 X₄ 4 OF 6 $100 0.0009690 0.981469 0.018531 $5.23 X₅ 3 OF6 $2 0.0175440 0.981469 0.018531 $1.89 X₆ 0-2 OF 6    $0 0.98146900.981469 0.018531 $0.00 TOTAL: 1.0000000 $15.65

[0078] For the exemplary one million dollar top prize 6-49 game set outin example 1 of the table above, the price of the never-lose ticket(before markup) is calculated to be $15.65. This is the expected valueof the ticket, representing the average return to the player given alarge number of ticket purchases. The lottery would then use anappropriate markup (M) to build a profit margin into the ticket price.They could, for example, mark up all tickets by fifty percent so thatthe resulting price is $23.48 ($15.65×1.5). This price may then berounded up to the nearest whole dollar amount.

[0079] It should be noted that different prize structures andprobabilities may yield higher or lower prices for each never-loselottery game structure. Thus, a 6/45 game with the same prize structurewould have a different ticket price due to the different probabilityvalues associated with each possible outcome.

[0080] In Example 2 set out below, the top prize has been changed to tenmillion dollars, with the remaining parameters otherwise identical toExample 1 set out above. The resulting price is seen to be calculated at$64.22 (before markup) as illustrated below.

EXAMPLE 2

[0081] Lotto 6-49 Top Jackpot - $10,000,000 Payout (X_(i))* X_(i)Outcome Payout ($) Prob (X_(i)) Prob (Z) 1-Prob (Z) [prob X_(i)/1-probZ)] X₁ 6 OF 6 $10,000,000 0.0000001 0.981469 0.018531 $53.96 X₂   5 OF6+ $100,000 0.0000004 0.981469 0.018531 $2.16 X₃ 5 OF 6 $1,000 0.00001800.981469 0.018531 $0.97 X₄ 4 OF 6 $100 0.0009690 0.981469 0.018531 $5.23X₅ 3 OF 6 $2 0.0175440 0.981469 0.018531 $1.89 X₆ 0-2 OF 6    $00.9814690 0.981469 0.018531 $0.00 TOTAL: 1.0000000 $64.22

[0082] Examples one and two above show typical fixed jackpot amounts.Most lottery jackpots, however, increase when the top payout is not won.The operating lottery authority may offer the never-lose option when thejackpot is at low amounts only, for the purpose of stimulating ticketsales.

[0083] It will be apparent from a consideration of the examples abovethat the price of a never-lose lottery ticket could substantially exceedthe price of a conventional lottery ticket. Therefor, it may bedesirable in some embodiments to decrease the up-front cost to theplayer, for example by spreading the cost of the ticket over a number ofpayments. In such an embodiment, the expected value of the ticket iscalculated as described above, billing costs (if any) are added, and thetotal cost of the ticket is billed in periodic statements to the player.Such periodic billing may be applied to a credit card account, or may beimplemented by automatic deductions from a savings or checking accountidentified by the player.

[0084] In an alternate billing arrangement, the player pays aconventional price for each drawing for which the never-lose ticket isentered. The fees and entry terminate upon a winning drawing. The pricemay be billed as described above to a credit card or other periodicpayment mechanism. The valid status of the never-lose ticket may becancelled if the payment mechanism is disabled or becomes invalid; i.e.if a payment account is terminated by the player. Theoretically, thecalculated price of this alternate billing arrangement is the same asthe calculated prices described in the examples above.

[0085] In an alternate method of calculating a price, the lotteryauthority could determine an average top prize for a given time period(e.g. one year), and calculate a single, uniform price for a never-loseticket based on that average top prize. The uniform price would then beused for all ticket sales in lieu of an individually calculated pricefor each ticket. As an example, if the lottery authority determined thatthe top jackpot averaged five million dollars over the past year, thenthe price for all never-lose lottery tickets would be calculated once,in the manner described above, using five million dollars as the topprize.

[0086] Yet another method for operating a never-lose lottery havingfixed price tickets is to offer a fixed top jackpot. Players purchasingnever-lose tickets would thus only be eligible to win this predeterminedamount if they win the top prize. The jackpot for never-lose playerswould remain constant from drawing to drawing, regardless of whether thetop prize were paid out. All never-lose entries would remain activeuntil each won a drawing-based prize, but the top prize or jackpot wouldremain a fixed amount and not increase over time.

[0087] In embodiments where the top prize for never-lose ticket holdersis different from that of conventional ticket holders, the lotteryoperator could offer an insurance upsell where the difference betweenthe jackpot amount and the top prize amount available to the ticketholder is paid should the ticket holder match the maximum number ofselections correctly.

[0088] It is noted that top payouts are often split among multiplelottery winners. This shared top payout fixes the cost of jackpotpayouts by the lottery authorities because they pay the same amount ofmoney regardless of the number of winners. While not described in any ofthe examples above, this element of the lottery prize structure would beconsidered when determining a fair and accurate price for eachnever-lose ticket.

[0089] While the above pricing equation incorporates a fixed percentagemarkup for the lottery, there are many other ways in which a markup maybe calculated. For example, the lottery could calculate the averagenumber of entries to be sold before a prize is won. This average numberof entries is then multiplied by the margin associated with individuallottery ticket sales. For example, most lotteries today operate with a100% markup on each ticket sold, that is prizes returned typicallyaverage half of the purchase price. A lottery offering a never-loseticket might calculate that it takes ten entries on average to win aprize. To determine the appropriate markup on the never-lose ticket, thelottery authority would multiply a $0.50 markup on a one dollar ticketby ten, and markup the never lose ticket by $5.00.

[0090] In yet another embodiment, the lottery assigns a number thatequates to less than the average margin on normal ticket sales due tothe increased volume as a result of the never-lose option.

[0091] It will be understood that numerous other methods for pricingnever-lose lottery tickets will be readily apparent to those skilled inthe art.

[0092] With reference now to FIGS. 12A, B, there is described a method220 for searching never-lose ticket database 42 (FIG. 5) to identifywinning tickets, and to store the records associated with those ticketsin winning ticket database 44 (FIG. 6).

[0093] More specifically, the winning numbers are received by server 30(step 222) following a lottery drawing. Such a drawing may beaccomplished in one of many known ways, typically including the use of arandom number generator which may be electrical or mechanical in form.Such random number generators are known to include, for example, handdrawings of numbers, mechanical operations to identify numbers, andelectrical random number generators. The winning numbers may also begenerated by an electronic random number generator operated in or byserver 30.

[0094] It will be understood that the quantity of winning numbers willbe a function of the type of game being played. Some games may requirethe drawing of multiple numbers to identify corresponding multipleclasses of winners. In the 6/49 game described herein, a player selectssix numbers, each ranging from one to forty-nine. A drawing is conductedtwice a week, each drawing identifying six winning numbers in the sameone to forty-nine range. Other variations exist where the quantity ofnumbers selected by the player is less than or more than six, and thepool of numbers from which they are chosen is greater than or less thanforty-nine.

[0095] Once the winning numbers have been entered into server 30, ticketdatabase 40 is searched to determine if there are any winning entries.Never-lose ticket database 42 is then read to determine if there are anywinning never-lose entries. This reading is accomplished by firstaccessing the database (step 224) and then comparing the NUMBERSSELECTED field 80 to the winning numbers (step 226), whereby any winningentries are identified (step 228). If no winning entries are identified,access to the never-lose ticket database is terminated (step 230).

[0096] If a winning entry (i.e. an entry having three or more matcheswith the drawn numbers) is identified in never-lose ticket database 42,the data in status field 78 of the record 66 identifying the winningentry is changed to “closed” (step 232). The winning record 66 data isextracted from never-lose ticket database 42 (step 234) and, afterappropriately accessing winning ticket database 44 (step 236), a newrecord 88 is created in the latter database (step 238). The winningentry data is stored in the newly created winning ticket database 44record (step 240) to complete the processing of the winning entry. Itwill be appreciated that, while a preferred embodiment has been shownand described for processing never-lose entries to identify winningentries, many other embodiments having functionally similar results willbe apparent to those skilled in the art.

[0097] With reference now to FIGS. 13A, B, in accordance with thepresent invention a process 250 is shown whereby a holder of anever-lose lottery ticket may obtain the status of that ticket viatelephone.

[0098] Describing now FIG. 13A, a player initiates a telephone call to alottery ‘hotline,’ (step 252), that is a telephone number established bythe lottery authority whereby a player can check the status of anever-lose lottery ticket. Interactive voice response unit (IVRU) 36receives the incoming telephone call, and recites a verbal instructionfor the caller to enter a ticket identifier (step 254). The use ofIVRUs, and the scripts to operate and control same, are well known tothose skilled in the art. Similarly, the description presented herein ofhandling an incoming call will be understood by those skilled in theart. Various components associated with call processing and handling,such as private branch exchanges (PBX), automatic call distributors(ACD), data buses, and switches, may be included and will be understoodby those skilled in the art. Such methods and components for callhandling are well known in the art and need not be described herein.

[0099] Upon entry by the caller of the digits representing the lotteryticket identifier (step 256), the IVRU captures same (step 258) andtransmits the ticket identifier to server 30 (step 260). Server 30accesses never-lose ticket database 42 (step 262) and queries the datain field 70 of same (step 264) to identify any matching record 66 (step266). If no matching record exists, an appropriate message is recited tothe caller through the IVRU, and re-entry of another ticket number maybe requested. If a matching record 66 is found, the data in status field78 is read (step 268) to determine the status of the entry (step 270).If the status is read as “active,” the server 30 directs the IVRU (step280) to recite a message (step 282) indicating that the ticket is stillactive.

[0100] If the status check done with respect to step 270 indicates thatthe status is “closed,” then winning ticket database 44 is accessed(step 272) and field 96 is read (step 274) to identify the matchingrecord (step 276), i.e. the record containing data identifying thewinning ticket. Appropriate information, including the winning numbers,the drawing date, and the prize information are read (step 278) andtransmitted to the IVRU (step 280) for reciting to the caller/player(step 282).

[0101] Referring now to FIG. 14, a process 290 comprises an overview ofa method whereby a player may collect a prize for a winning never-loselottery ticket from a lottery terminal operator, a process commonlyreferred to as redeeming a winning lottery ticket. In accordance withthe process, the player presents the winning lottery ticket for paymentby a lottery terminal operator, or any other lottery dealer authorizedby the lottery authority to cash in winning tickets (step 292). It willbe understood that the value of the prize may determine the locationand/or the dealer at which the prize can be redeemed.

[0102] On receipt of the winning lottery ticket, the operator enters theticket into ticket reader 43 attached to lottery terminal 31 (step 294).Appropriate data, for example, the ticket identifier, is transmitted toremote lottery server 30 (step 296). The lottery server transmits backthe payout amount (step 297), which the lottery terminal uses to print apayment receipt (step 298). The lottery terminal operator then pays thewinning amount to the player (step 300). Details of the processpracticed by the lottery terminal are shown in FIG. 15, while details ofthe operation of server 30 are shown in FIGS. 16A, B, each of which isdescribed herein below.

[0103] With reference now to FIG. 15, a process 304 is shown wherebylottery terminal 31 processes a winning, never-lose lottery ticket. Inaccordance with process 304, an apparently winning, never-lose lotteryticket is placed into ticket reader 43 of the terminal (step 306), fromwhich lottery ticket information is retrieved (step 308). Input isprovided to the terminal by an operator through I/O device 41 that theticket is to be verified as a winning ticket (step 310). Subsequently,the ticket information including the ticket number is transmitted tolottery server 30 for verification as a winning ticket (step 312).

[0104] Referring now to FIGS. 16A and B, a process 320 is shown wherebyserver 30 operates to verify the winning status of a ticket. Morespecifically, server 30 receives the data transmission from the lotteryterminal (step 322), reads the received ticket identifier (step 324),and searches never-lose ticket database 42 (step 326) to find the record66 containing data in field 70 that matches the received ticketidentifier (steps 328, 330). The data in status field 78 is read (step332) to verify that it is “closed,” indicating a winning ticket. If thestatus indicates the never-lose ticket is “active” (step 334), therecord is shut (step 344) and the ticket owner is informed that theticket is still active, i.e. has not yet won a prize.

[0105] If the status in field 78 indicates the expected status of“closed,” winning ticket database 44 is accessed (step 336) and thecontents of field 96 queried (step 338) to identify the record 88 havingthe matching ticket identifier (step 340). The prize amount, drawinginformation (i.e. drawing date and game type) and ticket identifier areread from the identified winning ticket record, and transmitted back tothe lottery terminal (step 342). The winning record is subsequently shut(step 344) and access to the winning ticket database is terminated.

[0106] Referring back again to FIG. 15, the response from lottery server30 is received by the lottery terminal (step 314) and examined todetermine if the ticket is a valid winning ticket (step 316). If theticket is not a winning ticket, the owner is appropriately notified andthis lottery terminal process terminates. If the information receivedfrom the lottery server indicates the ticket is valid and winning, thendata including the ticket number, drawing date, and prize value isoutput to the printer (step 318) for printing on a receipt (step 320).

[0107] There has thus been described a new and improved apparatus andprocess for operating a lottery to generate, price, sell, process andredeem never-lose lottery tickets. The invention provides significantadvantages in the field of lotteries, including simplifying the purchaseprocess while increasing the desirability of the tickets to the players.The invention has particular applicability in the field of state-runlotteries having authorized, distributed lottery dealers operatinglottery terminals in communication with a centralized server operated bya lottery authority.

[0108] While the present invention has been described with respect tospecific embodiments, it is not thus limited. Numerous modifications,improvements, and changes will be apparent to those skilled in the artand which fall within the spirit and scope of the invention.

What is claimed is:
 1. A method of operating a lottery, comprising thesteps of: (a) receiving a result of a lottery drawing; (b) comparingsaid result to a plurality of stored lottery entries; (c) if said resultcorresponds to one of said plurality of stored lottery entries,identifying said one entry as a winning lottery entry; (d) identifyingat least one non-winning lottery entry from said plurality of storedlottery entries; (e) repeating said steps (a), (b), (c) and (d) for atleast one subsequent lottery drawing until said at least one non-winninglottery entry is identified as a winning lottery entry.
 2. A method inaccordance with claim 1 and further including the step of storing witheach of said plurality of stored lottery entries a status, said statusindicating whether the lottery entry is active or inactive.
 3. A methodin accordance with claim 2 wherein said active status indicates anon-winning lottery entry eligible for entry into subsequent lotterydrawings, and said inactive status indicates a winning lottery entryineligible for entry into subsequent lottery drawings.
 4. A method inaccordance with claim 1 and further including storing with each winninglottery entry a winning date and a prize value.
 5. A method inaccordance with claim 1 wherein said winning lottery entry includes alottery number selected by a player.
 6. A method in accordance withclaim 1 wherein said winning lottery entry includes a lottery numberselected by a lottery authority.
 7. Apparatus for operating a lottery,comprising: a processor; a memory connected to said processor, saidmemory storing a result of a lottery drawing, and a plurality of storedlottery entries; said processor operative to (a) identify, if saidresult corresponds to one of said plurality of stored lottery entries,said one of said plurality of stored lottery entries as a winninglottery entry, (b) identify at least one non-winning lottery entry fromsaid plurality of stored lottery entries, and (c) repeat operations (a)and (b) for at least one result of a subsequent lottery drawing untilsaid at least one non-winning lottery entry is identified as a winninglottery entry.
 8. Apparatus in accordance with claim 7 wherein saidprocessor is further operative to store with each of said plurality ofstored lottery entries a status, said status indicating whether alottery entry is active or inactive.
 9. Apparatus in accordance withclaim 8 wherein said active status indicates a non-winning lottery entryeligible for entry into future lottery drawings, and said inactivestatus indicates a winning lottery entry ineligible for entry intofuture lottery drawings.
 10. Apparatus in accordance with claim 7wherein said processor is further operative to store with each winninglottery entry a winning date and a prize value.
 11. Apparatus inaccordance with claim 7 wherein said winning lottery entry includes alottery number selected by a player.
 12. Apparatus in accordance withclaim 7 wherein said winning lottery entry includes a lottery numberselected by a lottery authority.
 13. Apparatus for operating a lottery,comprising: first means for receiving a result of a lottery drawing;second means for comparing said result to a plurality of stored lotteryentries; third means, if said result matches one of said plurality ofstored lottery entries, for identifying said one of said plurality ofstored lottery entries as a winning lottery entry; and fourth means foridentifying at least one non-winning lottery entry from said pluralityof stored lottery entries; said first, second, third and fourth meanscontinuing to operate for at least one subsequent lottery drawing untilsaid at least one non-winning lottery entry is identified as a winninglottery entry.
 14. A computer program product, comprising: a computeruseable medium having program code thereon for operating a lottery, saidprogram code comprising: first program code for receiving a result of alottery drawing; second program code for comparing said result to aplurality of stored lottery entries; third program code, if said resultmatches one of said plurality of stored lottery entries, for identifyingsaid one of said plurality of stored lottery entries as a winninglottery entry; and fourth program code for identifying at least onenon-winning lottery entry from said plurality of stored lottery entries;said first, second, third and fourth program code continuing to operatefor at least one subsequent lottery drawing until said at least onenon-winning lottery entry is identified as a winning lottery entry. 15.A method for processing lottery entries usable in a plurality of lotterydrawings, comprising the steps of: receiving a request to purchase alottery entry; receiving with said request an indicator that saidlottery entry is to be entered into a plurality of lottery drawingsuntil a lottery drawing identifies said lottery entry as a winner; andstoring said lottery entry.
 16. A method in accordance with claim 15 andfurther including the step of charging a fee for said lottery entry,said fee based at least in part on said indicator.
 17. A method inaccordance with claim 15 and further including the steps of: associatingwith said lottery entry a lottery ticket number; and storing saidlottery ticket number with said lottery entry.
 18. Apparatus forprocessing lottery entries usable in a plurality of lottery drawings,comprising: a processor; a memory connected to said processor; saidprocessor operative to receive a lottery entry, and receive with saidlottery entry an indicator that said lottery entry is to be entered intoa plurality of lottery drawings until a lottery drawing identifies saidlottery entry as a winner, and store said lottery entry in said memory.19. Apparatus in accordance with claim 18, said processor furtheroperative to calculate a fee for said lottery entry, said fee based atleast in part on said indicator.
 20. Apparatus in accordance with claim18, said processor further operative to: associate with said lotteryentry a lottery ticket number; and store said lottery ticket number withsaid lottery entry in said memory.
 21. Apparatus for processing lotteryentries usable in a plurality of lottery drawings, comprising: means forreceiving a request to purchase a lottery entry; means for receivingwith said request an indicator that said lottery entry is to be enteredinto a plurality of lottery drawings until a lottery drawing identifiessaid lottery entry as a winner; and means for storing said lotteryentry.
 22. A computer program product, comprising: a computer useablemedium having program code thereon for processing lottery entries, saidprogram code comprising: program code for receiving a request topurchase a lottery entry; program code for receiving with said requestan indicator that said lottery entry is to be entered into a pluralityof lottery drawings until a lottery drawing identifies said lotteryentry as a winner; and program code for storing said lottery entry. 23.A method for processing lottery entries usable in a plurality of lotterydrawings, comprising the steps of: receiving a request to purchase alottery entry; receiving with said request an indicator that saidlottery entry is to be entered into a plurality of lottery drawingsuntil a lottery drawing identifies said lottery entry as a winner; andtransmitting said request with said indicator to a remote lotteryauthority.
 24. A method in accordance with claim 23 and furtherincluding the step of receiving from said remote lottery authority dataconfirming said lottery entry.
 25. A method in accordance with claim 24wherein said data includes a lottery ticket number; and furtherincluding the step of storing said lottery ticket number.
 26. A methodin accordance with claim 23 wherein said step of receiving a request topurchase a lottery entry includes receiving a sense mark form.
 27. Amethod in accordance with claim 26 wherein said step of receiving withsaid request an indicator includes receiving said indicator on saidsense mark form.
 28. A method in accordance with claim 23 and furtherincluding the step of outputting a lottery ticket identifying saidlottery entry.
 29. Apparatus for processing lottery entries usable in aplurality of lottery drawings, comprising: a processor; a memoryconnected to said processor and storing a request to purchase a lotteryentry, an indicator, with said request, that said lottery entry is to beentered into a plurality of lottery drawings until a lottery drawingidentifies said lottery entry as a winner; and said processor operativeto transmit said request with said indicator to a remote lotteryauthority.
 30. Apparatus in accordance with claim 29, said processorfurther operative to receive from said remote lottery authority dataconfirming said lottery entry.
 31. Apparatus in accordance with claim 30wherein said data includes a lottery ticket number; said processorfurther operative to store said lottery ticket number in said memory.32. Apparatus in accordance with claim 29, and further comprising: meansfor reading a sense mark form connected to said processor; and saidrequest to purchase a lottery entry including data on a sense mark form.33. Apparatus in accordance with claim 32 wherein said indicatorincludes data on said sense mark form.
 34. Apparatus in accordance withclaim 29 wherein said processor is further operative to generate asignal for printing a lottery ticket identifying said lottery entry. 35.Apparatus for processing lottery entries usable in a plurality oflottery drawings, comprising: means for receiving a request to purchasea lottery entry; means for receiving with said request an indicator thatsaid lottery entry is to be entered into a plurality of lottery drawingsuntil a lottery drawing identifies said lottery entry as a winner; andmeans for transmitting said request with said indicator to a remotelottery authority.
 36. A computer program product, comprising: acomputer useable medium having program code thereon for processinglottery entries, said program code comprising: program code forreceiving a request to purchase a lottery entry; program code forreceiving with said request an indicator that said lottery entry is tobe entered into a plurality of lottery drawings until a lottery drawingidentifies said lottery entry as a winner; and program code fortransmitting said request with said indicator to a remote lotteryauthority.
 37. A method for generating lottery entries usable in aplurality of lottery drawings, comprising the steps of: receiving arequest to purchase a lottery entry; receiving with said request anindicator that said lottery entry is to be entered into a plurality oflottery drawings until a lottery drawing identifies said lottery entryas a winner; generating a ticket number for said lottery entry tovalidate said lottery entry and said indicator; and transmitting saidticket number to a remote terminal.
 38. A method in accordance withclaim 37 and further including the step of storing said lottery entryfor use in at least one lottery drawing.
 39. A method in accordance withclaim 38 wherein said storing step includes storing said lottery entrywith a plurality of lottery entries to be entered into a plurality oflottery drawings.
 40. A method in accordance with claim 38 and furtherincluding the steps of: generating a start date for said lottery entry;and storing said start date with said lottery entry.
 41. A method inaccordance with claim 37 wherein said request further includes a lotterygame type.
 42. A method in accordance with claim 37 and furtherincluding the steps of: generating a price for said lottery entry; andtransmitting said price to said remote terminal.
 43. Apparatus forgenerating lottery entries usable in a plurality of lottery drawings,comprising: a processor; a memory connected to said processor andstoring a request to purchase a lottery entry, and an indicator thatsaid lottery entry is to be entered into a plurality of lottery drawingsuntil a lottery drawing identifies said lottery entry as a winner; saidprocessor operative to generate a ticket number for said lottery entryto validate said lottery entry and said indicator; and transmit saidticket number to a remote terminal.
 44. Apparatus in accordance withclaim 43 wherein said memory further includes a plurality of lotteryentries each to be entered into a plurality of lottery drawings. 45.Apparatus in accordance with claim 43 wherein said processor is furtheroperative to: generate a start date for said lottery entry; and storesaid start date and said lottery entry in said memory.
 46. Apparatus inaccordance with claim 43 wherein said request further includes a lotterygame type.
 47. Apparatus in accordance with claim 43 wherein saidprocessor is further operative to: generate a price for said lotteryentry; and transmit said price to said remote terminal.
 48. Apparatusfor generating lottery entries usable in a plurality of lotterydrawings, comprising: means for receiving a request to purchase alottery entry; means for receiving with said request an indicator thatsaid lottery entry is to be entered into a plurality of lottery drawingsuntil a lottery drawing identifies said lottery entry as a winner; meansfor generating a ticket number for said lottery entry to validate saidlottery entry and said indicator; and means for transmitting said ticketnumber to a remote terminal.
 49. A computer program product, comprising:a computer useable medium having program code thereon for generatinglottery entries, said program code comprising: program code forreceiving a request to purchase a lottery entry; program code forreceiving with said request an indicator that said lottery entry is tobe entered into a plurality of lottery drawings until a lottery drawingidentifies said lottery entry as a winner; program code for generating aticket number for said lottery entry to validate said lottery entry andsaid indicator; and program code for transmitting said ticket number toa remote terminal.
 50. A method of pricing a lottery entry, comprisingthe steps of: receiving a request to purchase a lottery entry, saidrequest including an indicator that said lottery entry is to be enteredinto a plurality of lottery drawings until a lottery drawing identifiessaid lottery entry as a winner; calculating a price for said lotteryentry, said price based at least in part on the inclusion of saidindicator.
 51. A method in accordance with claim 50 wherein said step ofcalculating a price for said lottery entry includes: determining, for aplurality of potential payouts of said lottery drawing, a total numberfor said plurality of potential payouts and a value for each of saidplurality of potential payouts; determining a probability of each ofsaid plurality of potential payouts for said lottery entry; andcalculating said price based at least in part on the results of saiddetermining steps.
 52. A method in accordance with claim 50 wherein saidcalculating step includes calculating said price based at least in parton a potential payout of a first lottery drawing including said lotteryentry.
 53. A method in accordance with claim 50 wherein said calculatingstep includes calculating said price based at least in part on apotential average payout of a plurality of lottery drawings. 54.Apparatus for pricing a lottery entry, comprising: a processor; a memoryconnected to said processor and storing a request to purchase a lotteryentry, said request including an indicator that said lottery entry is tobe entered into a plurality of lottery drawings until a lottery drawingidentifies said lottery entry as a winner; said processor operative tocalculate a price for said lottery entry, said price based at least inpart on the inclusion of said indicator, and store said price in saidmemory.
 55. Apparatus in accordance with claim 54 wherein said operationof calculating a price for said lottery entry includes the operationsof: determining, for a plurality of potential payouts of said lotterydrawing, a total number for said plurality of potential payouts and avalue for each of said plurality of potential payouts; determining aprobability of each of said plurality of potential payouts for saidlottery entry; and calculating said price based at least in part on theresults of said determining steps.
 56. Apparatus in accordance withclaim 54 wherein said calculating operation includes calculating saidprice based at least in part on a potential payout of a first lotterydrawing including said lottery entry.
 57. Apparatus in accordance withclaim 54 wherein said calculating operation includes calculating saidprice based at least in part on a potential average payout of aplurality of lottery drawings.
 58. Apparatus for pricing a lotteryentry, comprising: means for receiving a request to purchase a lotteryentry, said request including an indicator that said lottery entry is tobe entered into a plurality of lottery drawings until a lottery drawingidentifies said lottery entry as a winner; means for calculating a pricefor said lottery entry, said price based at least in part on theinclusion of said indicator.
 59. A computer program product, comprising:a computer useable medium having program code thereon for pricinglottery entries, said program code comprising: program code forreceiving a request to purchase a lottery entry, said request includingan indicator that said lottery entry is to be entered into a pluralityof lottery drawings until a lottery drawing identifies said lotteryentry as a winner; program code for calculating a price for said lotteryentry, said price based at least in part on the inclusion of saidindicator.
 60. A method of reporting the status of a lottery entry,comprising the steps of: receiving a request for a status of a lotteryentry, said lottery entry of a type to be entered into a plurality oflottery drawings until a lottery drawing identifies said lottery entryas a winner; and outputting said status of said lottery entry.
 61. Amethod in accordance with claim 60 wherein said status indicates if saidlottery entry is a winning lottery entry or a non-winning lottery entry.62. A method in accordance with claim 61 and further including the step,if said status. indicates that said lottery entry is a winning lotteryentry, of outputting a drawing date for said winning lottery entry. 63.A method in accordance with claim 60 wherein said outputting stepincludes transmitting said status over a telephone line.
 64. A method inaccordance with claim 60 wherein said outputting step includestransmitting said status over a computer data network.
 65. Apparatus forreporting the status of a lottery entry, comprising: a processor; amemory connected to said processor and storing a lottery entry of a typeto be entered into a plurality of lottery drawings until a lotterydrawing identifies said lottery entry as a winner; said processoroperative to receive a request for a status of said lottery entry, andoutputting said status of said lottery entry.
 66. Apparatus inaccordance with claim 65 wherein said status indicates if said lotteryentry is a winning lottery entry or a non-winning lottery entry. 67.Apparatus in accordance with claim 66, wherein: said memory furtherstoring a drawing date for said winning lottery entry; and saidprocessor further operative, if said status indicates that said lotteryentry is a winning lottery entry, to output said drawing date. 68.Apparatus in accordance with claim 65 and further including an outputdevice connected to said processor for transmitting signals indicativeof said status over a telephone line.
 69. Apparatus in accordance withclaim 65 and further including an output device connected to saidprocessor for transmitting signals indicative of said status over acomputer data network.
 70. Apparatus for reporting the status of alottery entry, comprising: means for receiving a request for a status ofa lottery entry, said lottery entry of a type to be entered into aplurality of lottery drawings until a lottery drawing identifies saidlottery entry as a winner; and means for outputting said status of saidlottery entry.
 71. A computer program product, comprising: a computeruseable medium having program code thereon for reporting a status oflottery entries, said program code comprising: program code forreceiving a request for a status of a lottery entry, said lottery entryof a type to be entered into a plurality of lottery drawings until alottery drawing identifies said lottery entry as a winner; and programcode for outputting said status of said lottery entry.
 72. A method inaccordance with claim 50 and further including the step of generatingbilling statements for portions of said price whereby said price can bebilled in payments.
 73. A method in accordance with claim 72 whereinsaid step of generating billing statements includes generating creditcard billing statements.